Pensioners Information

Transcription

1 Pensioners Information The Pilkington Pension Scheme ( PPS ) merged with the Pilkington Superannuation Scheme ( PSS ) on 1 July As a result PSS is now responsible for payments to over twelve thousand pensioners of the one scheme. This leaflet is intended to cover issues (e.g. pension increases) that are important to you as a PSS pensioner. If there are matters about which you want more information please write to The Secretary, Pilkington Superannuation Scheme, c/o Group Pensions Department, Pilkington plc, Prescot Road, St Helens WA10 3TT. SS THE LEAFLET HAS SEVEN SECTIONS Paying your Pension Pension Increases Survivors Pensions Lump Sums The Scheme s Management Disputes Procedures Other Points The PSS (and the PPS) are governed by formal, detailed trust deeds and rules. Nothing in this leaflet, which is a very simple summary, is to be interpreted as overriding the detail set down in the Schemes trust deed and rules.

2 Paying your Pension Your Pension is paid monthly in sterling on or about the twenty third direct to your account. Pension can be paid into Bank or Building Society or Giro accounts in the U.K. and Bank accounts in many other countries. Remember to tell us in WRITING if you change your account, otherwise your pension will be delayed. We operate PAYE income tax on your pension in accordance with instructions given to us by the Tax Inspector. Your Tax District is St Helens (Telephone ). If you write to the Tax Office, please address your letter to Inland Revenue, West Lancs & West Cheshire area, PO Box 61, Leigh WN7 1XZ. Always quote 640/P3 and your N.I. number when contacting the Tax Office. We will post an advice slip to you in the months the amounts going into your account are 50 pence or more different from the previous month. Your net pension may vary if, for example, your tax code has changed (usually happens in April), you have received a pensions increase, or any of your stoppages (e.g. Recreation Club) have changed. 1

3 Pension Increases By law, the PSS has to increase certain Guaranteed Minimum Pensions ( GMPs ) and any ordinary pension earned by Scheme membership since 6th April 1997 onwards. If the PSS is unable to increase all pensions, these parts would have priority. Providing funding allows the PSS aims to increase pensions (both for pensioners and spouses) on 1st July each year. With exceptions, the aim is to increase pensions, which have been in payment for 16 months or more at the increase date, in line with the change in the retail prices index ( RPI ). The RPI change used is the one published in April. If the RPI figure is above 5%, then the PSS will not necessarily increase pension by more than 9 10 of the change. THE MAIN EXCEPTIONS TO THE PSS S INCREASE PRACTICE RELATE TO Guaranteed Minimum Pensions. Once a pensioner reaches the State Pension Age (65 for men, 60 for women) the Department of Social Security undertakes to increase some of your GMP. It does this by paying a supplement to your State Retirement Pension. It increases the whole of the 2

4 GMP you earned for PSS membership up to 5th April It only increases the GMP earned between April 1988 and April 1997 if the RPI change is over 3% (the PSS pays the first 3% of the increase). (If you are a widow receiving a Widow s Pension or Widowed Mothers Allowance from the DSS it increases your GMP each year, regardless of age.) Voluntary Pension Scheme benefits. These are pensions earned by extra contributions paid to the hourly paid scheme before April 1980, and pensions transferred into the VPS from the Triplex Fund. They only receive increases when the actuary confirms that PSS s investment performance allows them. Some pensioners have elected to receive larger pensions before State Pension Age and smaller pensions afterwards ( terminating pensions ). Any PSS increase is calculated as though such adjustments have not taken place. 3

5 Survivors Pensions (Because the PSS pays pensions to widowers as well as widows, the term spouse is used when referring to the partner to whom you are legally married.) Normally the PSS will pay a pension to the spouse on a pensioner s death. However, if you are separated, any payment may be subject to the Trustee s agreement. The Trustee has power to pay a survivor s pension to another dependant (for instance, an unmarried partner) but only if you have nominated that person in writing to the Scheme. A form is printed at the back of this leaflet. If you are survived by both a spouse and a nominated dependant, the total pension payable by the PSS will not exceed what would usually be paid to a spouse alone. Your spouse s pension will be payable from the first of the month following your death. Your spouse can marry again without losing the pension. The spouses pension will depend on your pension. However some parts of your pension, for instance: Contributions to the Voluntary Pension Scheme Contributions to the old Workmen s Pension Fund, if you retired before 6 April 1980 Additional Voluntary Contributions made to the PSS (as opposed to the PPS) to secure added service. 4

6 are excluded from the calculation, unless you surrendered an amount at retirement to buy a spouse s pension. Any pension you exchanged for a lump sum from PSS ( commuted ) at retirement will (if it would have qualified for spouse s pension) be added into your actual pension, before calculating the spouse s pension. The commuted amount may also be adjusted for notional pension increases. Spouse s pension will normally be one half of yours, subject to the adjustments for non-qualifying components and commuted pension outlined. However, if the age difference between you and your spouse is more than ten years, it will be adjusted. For instance, if your spouse is eleven years younger the spouse s pension becomes % (not 50%). At retirement you received an indication of your spouse s pension position. If you want to know the up to date pension, please write to Group Pensions Department. 5

7 Lump Sums Pensions (but not spouses pensions) paid by the PSS are guaranteed for five years. If you die within five years of retiring, a sum is payable equal to the balance of the unpaid months of pension up to the fifth anniversary of your retirement. Any pension payable from additional voluntary contributions made to PSS (as opposed to PPS) to secure additional service is guaranteed for ten, not five, years because it does not carry a spouses pension. Once you have lived beyond the length of the pension guarantee no further lump sum will be payable by the PSS on your death unless you contributed to the PSS (as opposed to PPS) sometime during the period 1 January January If you did, a lump sum equivalent to six months worth of the ordinary PSS pension (if any) being paid at the date of your death, is always payable. These lump sums - the guarantees and the pre-february 1976 benefit - do not currently form part of your estate. Decisions on the recipients are made by the Trustee taking into consideration any expression of wish Declaration you may have made. If you want to update your Declaration, please apply to Group Pensions Department for a form. If a spouse s pension is small (under 260 pa) it may also be possible to exchange it for a one-off lump sum, when first payable. 6

8 The Scheme s Management The PSS is separate from Pilkington plc. It is set up under a trust. The Trustee (Pilkington Brothers Superannuation Trustee Limited) is legally responsible for administering and investing the Scheme in accordance with the trust deed and pensions legislation. Half the members of the Trustee board (the Employer Trustee Directors) are appointed and half elected by Scheme members, including two elected by the pensioners. The next Pensioner Trustee Director elections will be in The members of the Trustee board are also the Trustee s Shareholders. The Trustee appoints its advisers (i.e. the actuary, auditor and solicitor), administrators, investment managers and the custodian of the Scheme s assets. Group Pensions Department, Pilkington plc is responsible to the Trustee for the administration of the PSS. 7

9 Disputes Procedures If you have a query about your pension please raise it with the PSS s administrators (Group Pensions Department, Pilkington plc, Prescot Road, WA10 3TT, Fax , telephone ). By law the Scheme has to have a formal procedure for trying to resolve differences between a member/pensioner and the Trustee, if an informal answer has not met the point. THE PSS S FORMAL DISPUTES RESOLUTION PROCEDURE IS IN TWO STAGES firstly, the complaint made in writing is considered by the Scheme s Secretary secondly, if the person complaining is not happy with the Secretary s formal reply, the complaint can be put to the Trustee for consideration. The detailed Disputes Resolution Procedure is available on request from the Scheme s Secretary at the address given above. Apart from the internal procedures, there is an external Pensions Advisory Service ( OPAS ) which is available at any time in connection with queries you may have, not only after internal procedures have been exhausted. OPAS may be contacted at 11 Belgrave Road, London, SW1V 1RB. 8

10 AS WELL AS OPAS THERE IS a Pensions Ombudsman, also with offices at 11 Belgrave Road, with powers to investigate and determine any complaint or dispute of fact or law, and a Regulator, currently called the Occupational Pensions Regulatory Authority ( OPRA ), which has powers to intervene in the running of schemes. OPRA is at Invicta House, Trafalgar Place, Brighton BN1 4DW. 9

11 Other Points Because of audit requirements, Group Pensions Department, Pilkington plc will not act on telephone instructions to change the address, or the bank account details, we hold for you in our records. Instructions must be in writing and signed. 10

12 Declaration Form PILKINGTON SUPERANNUATION SCHEME Named Dependants Pension Payable under Rule 43 (Death in Retirement) DECLARATION OF NAMED DEPENDENCY I (pensioner s full name in block capitals) hereby request the Trustee of the Pilkington Superannuation Scheme to consider (Full Name of Dependant, who must be over 18 years old) (Date of birth) who resides at as my Named Dependant for purposes of Rule 43. I acknowledge that a Named Dependant shall mean any person over over the age of 18 years who, in the opinion of the Trustee (whose decision shall be final and binding) is dependent upon me, either wholly or partly, for the general necessaries of life the decision to pay pension to a Named Dependant is at the Trustee s discretion this Declaration of Named Dependency is revoked automatically if: either I or my Named Dependant marry the Named Dependant ceases to be dependent on me the Named Dependant dies. Signed Dated Full name (block capitals) Pensioner s NI Number Pensioner s Date of Birth Office Use Received by Pensions Records amended

13 Declaration Forms should be sent to: PILKINGTON SUPERANNUATION SCHEME, c/o Group Pensions Department, Pilkington plc, Prescot Road, St Helens WA10 3TT.

14 PSS

15 Group Pensions Department Prescot Road St Helens WA10 3TT.

16 PILKINGTON SUPERANNUATION SCHEME Pilkington Superannuation Scheme Pensioners Information May 2004 Edition